Denied a new credit card
Denied a new credit card
Author
Discussion

Puggit

Original Poster:

49,821 posts

278 months

Friday 14th June 2013
quotequote all
So the Mrs told me to apply for a new credit card as the charges are going up on ours' and there's a better offer at the banking arm of an orange coloured supermarket (where we shop). I applied, and was surprised to find that we were declined. The bank told us to check our Experian credit rating, which is what they used.

Over a week later, once I'd paid £2 and received an email link, but had to wait for a letter with an access code - I have now checked our credit rating. Perfect to within an inch of its life - not one blemish.

We've lived in our current house for over 3 years.

Although not a powerfully built company director, I am in the upper few percent of earners in the UK.

WTF is going on?

ewenm

28,506 posts

275 months

Friday 14th June 2013
quotequote all
They won't make any money from you so don't want to give you a card.

rosscobmw

350 posts

188 months

Friday 14th June 2013
quotequote all
Maybe it was personal.

silverous

1,008 posts

164 months

Friday 14th June 2013
quotequote all
I felt the same when the AA turned me down for a loan for a car I could afford. I think as someone has alluded to sometimes a clear credit rating means they don't want you as it will cost them money rather than make them money.

krisdelta

4,673 posts

231 months

Friday 14th June 2013
quotequote all
ewenm said:
They won't make any money from you so don't want to give you a card.
Pretty much this! Consider it like when you see car insurance quotes for £4k on confused.com etc, when you can get insured for £300 - they just don't want your business. smile

blindswelledrat

25,257 posts

262 months

Friday 14th June 2013
quotequote all
Is the implication that people in Puggits demographic pay their cards in full each month thus never pay any interest?

Puggit

Original Poster:

49,821 posts

278 months

Friday 14th June 2013
quotequote all
Also - how come the bank can access MY credit rating instantly, yet I have to wait for a pin code to be posted to me?

ewenm

28,506 posts

275 months

Friday 14th June 2013
quotequote all
Puggit said:
Also - how come the bank can access MY credit rating instantly, yet I have to wait for a pin code to be posted to me?
Presumably they have a business account with Experian (etc)

Snowboy

8,028 posts

181 months

Friday 14th June 2013
quotequote all
ewenm said:
They won't make any money from you so don't want to give you a card.
Probably this.

Go with Lloyd's instead.
Collect air miles.
Go on holiday.
Win.

Tino

1,948 posts

313 months

Friday 14th June 2013
quotequote all
Could you not have signed up for 30 days for free to
http://www.uk.experian.com/
I had instant access when being denied for a mortgage.
The issue with me was they asked what my debts were, and for some reason they were reading higher on experian than the actually are. Simply adjusted the info with the lender and they Okayed the mortgage.

Bill

58,799 posts

285 months

Friday 14th June 2013
quotequote all
blindswelledrat said:
Is the implication that people in Puggits demographic pay their cards in full each month thus never pay any interest?
Looks that way. And supermarket cards tend to give vouchers as rewards so they'd make even less off him.

Jonathan27

761 posts

194 months

Friday 14th June 2013
quotequote all
Or, they may just feel that they have reached the correct balance of exposure to your demographic. A lending book should be balanced between low risk low return clients and higher risk higher return clients. So may be they are just at the correct balance on your end right now. Also it could have something to do with the recent sale of said bank, as they may now be changing policy / direction following the divestment

GTIR

24,741 posts

296 months

Friday 14th June 2013
quotequote all
Puggit said:
So the Mrs told me to apply for a new credit card as the charges are going up on ours' and there's a better offer at the banking arm of an orange coloured supermarket (where we shop). I applied, and was surprised to find that we were declined. The bank told us to check our Experian credit rating, which is what they used.
Hmm, this intrigues me...

Shall we say around 13:00, I will bring the Rum?

750turbo

6,164 posts

254 months

Friday 14th June 2013
quotequote all
GTIR said:
Hmm, this intrigues me...

Shall we say around 13:00, I will bring the Rum?
NOT the cheap stuff like you normally do!

whoami

13,201 posts

270 months

Friday 14th June 2013
quotequote all
ewenm said:
They won't make any money from you so don't want to give you a card.
They'll make money from the charges levied on their users.

P-Jay

11,408 posts

221 months

Friday 14th June 2013
quotequote all
blindswelledrat said:
Is the implication that people in Puggits demographic pay their cards in full each month thus never pay any interest?
Maybe this, years back they would have gladly taken this low-risk business on the grounds that one day the card holder might get a bit squiffy on the rum and buy something stupid and they'll make a couple of quid on it.

But these days it's not a case of they think they might not make much, or anything, it's because of Basel III and all the new rules since the crisis that to offer the OP a limit of £5k, £15k whatever they have to set aside £x of their capital on the 'off chance' he might go and spend it all one day. With capital being tight right now they'd rather use it on people who will borrow it.

Nationwide did something similar to my Dad, he earns fortunes in the middle east, but has his personal bank here. He had a £10k OD and a £20k CC with them and never used either, until one day he needed to book some flights at short notice and couldn't lay his hands on his savings and his CC got declined, he was furious, called them up and they admitted (in the end) that they'd slashed his OD and CC limits because he wasn't using them (and lots of other customers) to increase the amount of lending they could offer to other customers.

hornetrider

63,161 posts

235 months

Friday 14th June 2013
quotequote all
Puggit my dear chap. I had this problem a few years back and found out I wasn't on the electoral roll at my new address. Soon sorted. Could that be it?

Puggit

Original Poster:

49,821 posts

278 months

Friday 14th June 2013
quotequote all
hornetrider said:
Puggit my dear chap. I had this problem a few years back and found out I wasn't on the electoral roll at my new address. Soon sorted. Could that be it?
Nope - that appears on my credit rating smile

I want nectar points for spending on my credit card, dammit!

Puggit

Original Poster:

49,821 posts

278 months

Friday 14th June 2013
quotequote all
I'm going to tell Mrs Puggit to stop paying off the credit cards so religiously hehe

Puggit

Original Poster:

49,821 posts

278 months

Friday 14th June 2013
quotequote all
The one that keeps expanding? tongue out